In my subjective opinion, we are witnessing the next reincarnation of the OBKhSS. In the structure of the USSR Ministry of Internal Affairs, there was a Department for Combating theft of Socialist Property. After independence, this service became a department for combating economic crimes.

In 1994, it was separated into a separate Agency, colloquially called the "financial police". Throughout its existence, this has been the biggest threat to entrepreneurs and businessmen. As far as I remember, it ceased to exist in 2014, when it was transferred to the Agency for Civil Service Affairs and Anti-Corruption.

Then, however, she again reincarnated in the form of the Economic Investigation Service of the CGD of the Ministry of Finance of the Republic of Kazakhstan, then she became a member of the Financial Monitoring Committee and now a new reincarnation.

The problem is that institutional memory is very powerful. In the days of the USSR, OBKHSS was the most bribe-intensive and scandalous service. Her traditions and attitudes are passed down from generation to generation. Entrepreneurs were both class enemies for the OBKHSS, and remained for the Financial Police, SR and any reincarnations of this service.

The fight against the shadow economy, in my opinion, should be carried out not with punitive, but with preventive tools. To make it so that it would be more profitable to work in white than to be in the shade. The saddest thing is that entrepreneurs and businesses still pay the full tax rate. Just part of it goes to the budget, and part goes in the form of private taxes, which include all the corruption rent. From this position, the ratio of tax to GDP will look completely different and will grow by at least a third. That will look like the truth.

Now, what are the fears of those entrepreneurs with whom we managed to communicate. With a high degree of probability, the new Financial Monitoring Agency will begin to very actively prove its necessity. The question immediately arises, what types of business seams will become its target group?

We go by the method of elimination.

Entering the areas with the highest risk of shadow schemes, which include the production and wholesale of excisable goods, foreign trade operations and small wholesale and retail trade in the markets, large government orders and tax administration, this means facing influential stakeholders with interests in these areas. If there are any high-profile cases, then most likely as a result of competition between the elites.

Going into small business is simply not economically feasible. The efforts are the same, the results are not obvious.

However, any structure will prove its necessity and will need its own portfolio of investigations and successes. Medium business will fall under the distribution. Moreover, most likely, where more or less civilized norms have already developed, which does not depend on the state. Due to the peculiarities of our regulation, violations can always be found. You can create them if necessary. This is also a demotivator for medium-sized companies to stay medium. To become large quickly is not possible, it means the correct tactical decision to split up. But the fragmentation of the business makes it less attractive to investors and creates problems in the event of a need for leverage.

Maybe I was wrong and wrong. I would be very glad if this is so. And the new Agency will indeed begin to lower and remove barriers to the transition from shadow to light.